From Senator Sherrod Brown’s (D-OH), opening statement at the February 14, 2019 confirmation hearings for NCUA’s nominees Harper and Hood:
“Mr. Hood previously served as an NCUA Board Member from 2005 to 2010. Mr. Harper worked in the NCUA’s office of Public and Congressional Affairs and served as the chief policy advisor to the Chair from 2011 to 2017. Both nominees possess a deep understanding of credit unions and the issues that affect them.” [emphasis added]
From Senator Brown’s questioning of NCUA Chairman Hood at Senate Banking Committee hearing, December 5, 2019:
“I just am not sure you understand what an independent regulator is.”
The mechanism that is in play here to advise the administrations on what nominees to present for board seats is BROKEN. It starts with the process to evaluate what is ahead of the NCUA in future years, and what is the current track record of the NCUAs approach to the issues of the last decade or so. Because the judgement seems to be “they have done well, so lets continue on in the same track with the same outcomes”. Armed with that conclusion, the administrations historically vested minions put up names that would simple extend the NCUA’s canned responses term after term. “The vision that the NCUA needs nothing more that rubber stampers for tactical approaches cast in stone long ago.”
The administration casts nominees that be safely trusted to forge solutions that fit Washington’s expectations of Bank Lite CU operations, and insurance safe opportunities for the institutions that they deem relevant. Retreads with different names, no agendas respecting true innovation, and a march towards consolidation – nominee after nominee.
What are we facing – a growing distrust of the NCUA board design. What are we facing – a growing dismissal of the cooperative business design alternatives for banking. What are we facing – the ultimate call for the CU industry call to break with the NCUA and run towards chaos of a revolution. All it will take is enough industry players who believe there is opportunity in chaos, over the compromise with a slow march to no where.
Wake up and help our political system see and understand we need more.